Smart Money Guide

It's open enrollment season at work, which means one decision matters more than almost any other on your benefits form: how much to put in your 401(k). And for 2026, the IRS just gave you more room — the contribution limits went up. 🎬 Watch the 40-second version on YouTube Shorts Here's the problem: most people have no idea what the limits actually are, so they either leave free money on the table or contribute blindly without a plan. Let's fix that. Here are the exact 2026 numbers, what they mean for you, and how to decide how much to save. The 2026 401(k) Limits (The Exact Numbers) The IRS adjusts these limits every year for inflation. Here's what you can contribute from your own paycheck in 2026: Under age 50: $24,500 Age 50 and older: $24,500 + $8,000 catch-up = $32,500 Ages 60–63: $24,500 + $11,250 "super catch-up" = $35,750 That super catch-up is a SECURE 2.0 rule: workers aged 60 to 63 get a bigger catch-up contribution than everyo...

Roth IRA vs 401(k): Which One Makes You Richer? (2026 Guide) Choosing wrong could cost you $100,000+ in retirement. Let's get it right. The Basics 401(k): Employer-sponsored, pre-tax contributions, pay taxes in retirement. Roth IRA: Individual account, after-tax contributions, tax-free in retirement. 2026 Contribution Limits 401(k): $24,500/year ($32,500 if 50+) Roth IRA: $7,500/year ($8,600 if 50+) Which Should YOU Choose? Choose 401(k) if: Employer matches (FREE money!), higher income now than in retirement expected. Choose Roth IRA if: Young/low income now, expect higher taxes later, want tax-free withdrawals. Best answer: BOTH if you can! Max employer match first, then Roth IRA. The $100,000 Difference Example: $500/month for 30 years at 8% return: 401(k): $745,000 (but pay taxes on withdrawal) Roth IRA: $745,000 (TAX-FREE!) If tax rate is 25% in retirement, Roth saves you $186,000 ! Common Mistakes Not getting full employer match (leaving free...